CJHDEVCO liable to sub-lessees, sub-locators, buyers – BCDA

The state-owned Bases Conversion and Development Authority (BCDA) has denied it was privy to the contracts signed by sub-lessees, locators and buyers with the Camp John Hay Development Corp (CJHDevCo), a BCDA lawyer said on Monday.

Peter Paul Flores, head of BCDA legal services, said CJHDevCo misled the locators, sub-lessees and buyers when it claimed the BCDA knew about the contracts and should honor them.

“Contrary to what the CJHDevCo has claimed, the BCDA is not privy to the contracts so how could the BCDA honor them,” Flores said.

He said BCDA, through its management arm, John Hay Management Corp (JHMC), asked CJHDevCo in August 2011 of copies of all contracts and other documents related to the development of all residential homes, estates and condotels in the area, but the company refused.

CJHDevCo Chief Operating Officer said in a letter to JHMC: “Owing to the nature of all these contracts, which outline sensitive and confidential commercial, contractual and financial information, and which are not to be disclosed to anyone without the express written authorization of the parties involved, we regret to inform you that CJHDevCo is under no clear obligation to furnish JHMC such copies.”

Flores said CJHDevCo was liable to the sub-lessees, sub-locators and buyers for concealing the contracts from JHMC.

“Is there a hidden motive why CJHDevCo continues to refuse to provide the BCDA copies of the contracts?” Flores said.

Flores called on the sub-lessees, sub-locators and buyers not to accept legal services offered by CJHDevCo, which was trying to evade liability and avoid being sued

BCDA President and CEO Arnel Paciano Casanova advised the sub-lessees, sub-locators and buyers to seek legal counsel to ensure that their rights and interests will be protected. “The last thing we want to happen is for their contracts to be a worthless piece of paper like what happened with the College Assurance Plan.”

Casanova also urged the sub-lessees, sub-locators and buyers to run after the CJHDevCo to protect their interests and lay claim to P1.42 billion investments.

The Philippine Dispute Resolution Center Inc has ordered BCDA to return to CJHDevCo the amount of P1.42 billion representing all the lease payments paid to the BCDA.

It ordered the CJHDevCo to vacate the premises and to deliver the property, inclusive of all new constructions and permanent improvements introduced during the term of the Lease.

In a separate decision penned by Teodoro Kalaw, one of the three arbitrators of the case, declared that CJHDevCo has acknowledged it owes the government P2.4 billion and should pay BCDA the amount.

CJHDevCo is owned and managed by Fil-Estate Corp., chaired by Robert John Sobrepeña, who also owns and manages the College Assurance Plan, the pre-need company known to have defaulted on its obligations to plan holders, and the Metro Rail Transit Development Corp.